Bill > S3787

This bill requires municipal tax collectors who receive payments in lieu of taxes (PILOTs) under the Long Term Tax Exemption Law to directly transmit a portion of those payments to the county. Specifically, the bill mandates that municipalities remit five percent of the annual service charge collected from urban renewal entities to the county government. The bill provides detailed provisions about how these service charges are calculated, which typically involve a percentage of the project's gross revenue or total project cost, with the percentage varying based on the type of project (such as low- and moderate-income housing). If a municipality fails to remit the required county portion when due, the county can recover the unpaid balance plus interest and potentially seek legal action. The bill also requires municipal finance officers to provide detailed reporting about each tax exemption agreement, including project name, agreement date, expiration date, service charge amounts, and county-specific financial details. The changes will apply to financial agreements entered into on or after a specified effective date, which is the first day of the third month following the bill's enactment.

Government Affairs, Housing and Urban Affairs

https://www.njleg.state.nj.us/bill-search/2024/S3787